FMP

FMP

CarMax, Inc. (NYSE:KMX) Faces Potential Downside and Legal Challenges

  • Evercore ISI sets a price target of $37 for NYSE:KMX, indicating potential downside from its current trading price.
  • CarMax is involved in a class action securities lawsuit, which could affect investor sentiment and stock performance.
  • The stock has experienced significant volatility, with a 52-week range between $91.25 and $30.26, showcasing active trading and investor interest.

CarMax, Inc. (NYSE:KMX) is a leading retailer of used vehicles in the United States. The company operates through two segments: CarMax Sales Operations and CarMax Auto Finance. CarMax is known for its no-haggle pricing and comprehensive vehicle inspection process. It competes with other used car retailers like AutoNation and Carvana.

On December 9, 2025, Evercore ISI set a price target of $37 for KMX. At that time, the stock was trading at $39.26, which is about 5.76% higher than the target. This suggests that Evercore ISI sees potential downside in the stock's value. The stock's current price reflects a 1.13% increase, or $0.44, from the previous trading session.

CarMax is currently facing a class action securities lawsuit filed by Levi & Korsinsky, LLP. The lawsuit alleges securities fraud and seeks to recover losses for investors affected between June 20, 2025, and November 5, 2025. This legal issue could impact investor sentiment and the stock's future performance.

The stock has shown significant volatility, with a 52-week high of $91.25 and a low of $30.26. Today, KMX fluctuated between $38.48 and $39.73. The company's market capitalization is approximately $5.98 billion, and it has a trading volume of 3,230,319 shares on the NYSE. These figures indicate active trading and investor interest in the stock.